Businesses are hiring again as job opportunities grow

Positive news at last from the recruitment industry. The recent survey of agencies by the Recruitment Employers Federation and KPMG suggests that companies are hiring again in good numbers. Demand for staff is at its highest since July 2007, apparently, but I'm not sure that all sectors of the economy are roaring back to health at the same time. Some canny business owners who prepared themselves during the recession may now be finding their feet, but as industry sectors felt the pain of the recession at different times so they will return to hiring mode again at their own pace.

James Caan

I am seeing a pattern of increased job openings and activity in a number of businesses within my investment portfolio. From recruitment agencies to web design consultancies – they are showing signs of recovery and are enthusiastic about the year ahead.

Phil Roebuck, managing director of webrecruit, one of my portfolio companies tells me the number of vacancies they're working on each day has increased tenfold. Business confidence, whilst still shaky, is getting stronger and recruitment activities are reflecting this.

He tells me that demand for sales and marketing professionals is increasing, news I'm not too surprised about. These two skills sets are instrumental in a recovery plan. He's also seen a rapid increase in digital media jobs. The REC report suggests it's the IT/computing sector that's in most demand at the moment, and whilst closely related, the digital field is also one to watch.

The internet has been a terrific instrument of change. Virtually overnight it changed the dynamics of business. It's rapid, cheap and effective, so it's inevitable a new army of jobs would be created around this new domain.

This is particularly relevant to Fresh Egg, an internet marketing agency in which I've invested. Their success has been twofold: not only has the demand for search engine optimisation (SEO) increased, but also the size of their expert team. Great SEO consultants are in short supply.

It seems the penny's dropped: more and more companies have realised how important it is to have an online presence, and the marketing tools it provides to reach a wider audience.

But it's not just my web-based investments that are thriving. Tristan Ramus, one of my chief advisers, informs me that two of our key recruitment companies, the Resourcing Group and Eden Brown, are showing positive signs.

The Resourcing Group had its best year ever based on net profit as a result of adapting what they do to survive the volatile market. Eden Brown on the other hand, is showing early signs of growth and reflect the report's findings that the permanent jobs market is rebounding.

I believe many employers will remain cautious for some months, but it is reassuring to see recruitment activity increase. The casualties of the recession are starting to find their feet, with jobs from administration and HR, through to engineering and IT, all seeing modest rises. Let's hope we can maintain this.

James Caan is founder and chief executive of Hamilton Bradshaw and founded and ran recruitment group Alexander Mann between 1985 and 2002. Please send your questions to askjames@telegraph.co.uk